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Article

Abstract

Chinese tires, subsidized by its government, are much cheaper than their American counterparts. As a result several American tire plants have been closed and thousands of Americans have lost their jobs. In light of these setbacks, President Obama levied an extra 35% tax on these imports in September 2009. The purpose of this article is to research which other country, if any, may also follow the U.S. strategy; and why using the theory of Trade Equilibrium would be a better approach instead